Skip to main content
Fachgebiete
Automobil + Motoren Bauwesen + Immobilien Business IT + Informatik Elektrotechnik + Elektronik Energie + Nachhaltigkeit Finance + Banking Management + Führung Marketing + Vertrieb Maschinenbau + Werkstoffe Versicherung + Risiko
DE
EN
Themenseiten
Organisationspsychologie Projektmanagement Marketing Smart Manufacturing
Bücher
Zeitschriften
Weitere Formate
Podcasts Webinare Technik Webinare Wirtschaft Kongresse Veranstaltungskalender Awards
Jetzt Einzelzugang starten
Zugang für Unternehmen
Referenzkunden
ATZ-Fachkongress

Chassis.tech plus 2024


4 Kongresse in einer Veranstaltung

Treffen Sie in München die Fachleute von Chassis, Lenkung, Bremsen sowie Reifen/Räder.
Erweiterte Suche
Anmelden
nach oben
Management International Review
Erschienen in: Management International Review 4/2018

28.05.2018 | Research Article

From Arbitrage to Global Innovation: Evolution of Multinational R&D in Emerging Markets

verfasst von: Srivardhini K. Jha, Charles Dhanaraj, Rishikesha T. Krishnan

Erschienen in: Management International Review | Ausgabe 4/2018

Einloggen

Aktivieren Sie unsere intelligente Suche, um passende Fachinhalte oder Patente zu finden.

search-config
loading …

Abstract

Our inductive study of nine European multinational enterprises (MNEs) and their R&D units in India uncovers a distinct trajectory of overseas R&D evolution in emerging markets. In contrast to the well-established trajectory of foreign R&D evolution that begins by adapting existing MNE products to the local market, this alternative trajectory begins by leveraging cost arbitrage and progresses through three unique configurations towards a global product mandate. Our study also unravels how the R&D units build embeddedness within the MNE network and with the local ecosystem, and how such embeddedness influences the evolution of their R&D mandate. We present a stylized taxonomy of R&D configurations and integrate this into an evolutionary model of emerging market R&D and suggest that research on MNE R&D in emerging markets must shift from focusing on the macro environment to exploring the dynamics of embeddedness. The study also provides useful insights to practitioners on managing R&D in emerging markets.
Vorheriger Artikel Hybrid State-Owned Enterprises and Internationalization: Evidence from Emerging Market Multinationals

Sie haben noch keine Lizenz? Dann Informieren Sie sich jetzt über unsere Produkte:

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

  • über 102.000 Bücher
  • über 537 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Maschinenbau + Werkstoffe
  • Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

Jetzt informieren

Management International Review

MANAGEMENT INTERNATIONAL REVIEW is a double-blind refereed journal that aims at the advancement and dissemination of research in the fields of International Management.

Jetzt informieren

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 340 Zeitschriften

aus folgenden Fachgebieten:

  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Versicherung + Risiko




Jetzt Wissensvorsprung sichern!

Jetzt informieren
Fußnoten
1
This study was part of a larger effort commissioned and funded by the European Commission to understand the nature of innovation within European Union (EU) firms, and the nature of EU MNE R&D in India.
 
2
Unless an OU evolves into an FTU, it has little chance of surviving, since the nature of work undertaken by an OU can easily be substituted with an arm’s-length outsourcing arrangement or consolidated within another subsidiary. Therefore, any unit that fails to move beyond OU to take on a more strategic role is unlikely to survive.
 
3
We thank one of the anonymous reviewers for pointing this out.
 
Literatur
Achcaoucaou, F., Miravitlles, P., & León-Darder, F. (2014). Knowledge sharing and subsidiary R&D mandate development: A matter of dual embeddedness. International Business Review, 23(1), 76–90.CrossRef
Andersen, P. H., & Kragh, H. (2010). Sense and sensibility: Two approaches for using existing theory in theory-building qualitative research. Industrial Marketing Management, 39(1), 49–55.CrossRef
Andersson, U., & Forsgren, M. (1996). Subsidiary embeddedness and control in the multinational corporation. International Business Review, 5(5), 487–508.CrossRef
Andersson, U., & Forsgren, M. (2000). In search of centre of excellence: Network embeddedness and subsidiary roles in multinational corporations. Management International Review, 40(4), 329–350.
Andersson, U., Forsgren, M., & Holm, U. (2001). Subsidiary embeddedness and competence development in MNCs: A multi-level analysis. Organization Studies, 22(6), 1013–1034.CrossRef
Andersson, U., Forsgren, M., & Holm, U. (2002). The strategic impact of external networks: Subsidiary performance and competence development in the multinational corporation. Strategic Management Journal, 23(11), 979–996.CrossRef
Andersson, U., Forsgren, M., & Holm, U. (2007). Balancing subsidiary influence in the federative MNC: A business network view. Journal of International Business Studies, 38(5), 802–818.CrossRef
Arora, A., & Gambardella, A. (2006). From underdogs to tigers: The rise and growth of the software industry in Brazil, China, India, Ireland, and Israel. Oxford: Oxford University Press.
Asmussen, C. G., Pedersen, T., & Dhanaraj, C. (2009). Host country environment and subsidiary competence: Extending the diamond network model. Journal of International Business Studies, 40(1), 42–57.CrossRef
Athreye, S., Tuncay-Celikel, A., & Ujjual, V. (2014). Internationalisation of R&D into emerging markets: Fiat’s R&D in Brazil, Turkey and India. Long Range Planning, 47(1), 100–114.CrossRef
Basant, R., & Mani, S. (2012). Foreign R&D centres in India: An analysis of their size, structure and implications. IIMA working paper number 2012-01-06.
Birkinshaw, J. (1997). Entrepreneurship in multinational corporations: The characteristics of subsidiary initiatives. Strategic Management Journal, 18(3), 207–229.CrossRef
Birkinshaw, J., & Hood, N. (1998). Multinational subsidiary evolution: Capability and charter change in foreign-owned subsidiary companies. Academy of Management Review, 23(4), 773–795.CrossRef
Birkinshaw, J., Hood, N., & Jonsson, S. (1998). Building firm-specific advantages in multinational corporations: The role of subsidiary initiative. Strategic Management Journal, 19(3), 221–241.CrossRef
Bouquet, C., & Birkinshaw, J. (2008a). Managing power in the multinational corporation: How low-power actors gain influence. Journal of Management, 34(3), 477–508.CrossRef
Bouquet, C., & Birkinshaw, J. (2008b). Weight versus voice: How foreign subsidiaries gain attention from corporate headquarters. Academy of Management Journal, 51(3), 577–601.CrossRef
Buckley, P., & Casson, M. (1976). The future of the multinational enterprise. London: Macmillan.CrossRef
Cantwell, J., & Mudambi, R. (2005). MNE competence-creating subsidiary mandates. Strategic Management Journal, 26(12), 1109–1128.CrossRef
Cantwell, J., & Mudambi, R. (2011). Physical attraction and the geography of knowledge sourcing in multinational enterprises. Global Strategy Journal, 1(3–4), 206–232.CrossRef
Chakravarthy, B. S., & Doz, Y. (1992). Strategy process research: Focusing on corporate self-renewal. Strategic Management Journal, 13(S1), 5–14.CrossRef
Ciabuschi, F., Dellestrand, H., & Martín, O. M. (2011). Internal embeddedness, headquarters involvement, and innovation importance in multinational enterprises. Journal of Management Studies, 48(7), 1612–1639.CrossRef
Ciabuschi, F., Holm, U., & Martín, O. M. (2014). Dual embeddedness, influence and performance of innovating subsidiaries in the multinational corporation. International Business Review, 23(5), 897–909.CrossRef
D’Agostino, L. M., & Santangelo, G. D. (2012). Do overseas R&D laboratories in emerging markets contribute to home knowledge creation? Management International Review, 52(2), 251–273.CrossRef
De Meyer, A., & Mizushima, A. (1989). Global R&D management. R&D Management, 19(2), 135–146.CrossRef
Demirbag, M., & Glaister, K. W. (2010). Factors determining offshore location choice for R&D projects: A comparative study of developed and emerging regions. Journal of Management Studies, 47(8), 1534–1560.CrossRef
Dhanaraj, C., Lyles, M., Steensma, H. K., & Tihanyi, L. (2004). Managing tacit and explicit knowledge transfer in IJVs: The role of relational embeddedness and the impact on performance. Journal of International Business Studies, 35(5), 428–443.CrossRef
Doz, Y. L. (1996). The evolution of cooperation in strategic alliances: Initial conditions or learning processes? Strategic Management Journal, 17(S1), 55–83.CrossRef
Doz, Y. L., Olk, P. M., & Ring, P. S. (2000). Formation processes of R&D consortia: Which path to take? Where does it lead? Strategic Management Journal, 21(3), 239–266.CrossRef
Dubois, A., & Gadde, L. E. (2002). Systematic combining: An abductive approach to case research. Journal of Business Research, 55(7), 553–560.CrossRef
Dunning, J. H. (1993). Multinational enterprises and the global economy. Wokingham: Addison-Wesley.
Eisenhardt, K. M. (1989). Building theory from case study research. Academy of Management Review, 14(4), 532–550.CrossRef
Eisenhardt, K. M., & Graebner, M. E. (2007). Theory building from cases: Opportunities and challenges. Academy of Management Journal, 50(1), 25–32.CrossRef
Figueiredo, P. N. (2011). The role of dual embeddedness in the innovative performance of MNE subsidiaries: Evidence from Brazil. Journal of Management Studies, 48(2), 417–440.
Frantz, S. (2006). Chemistry outsourcing going global. Nature Reviews Drug Discovery, 5(5), 362–363.CrossRef
Frost, T. S., Birkinshaw, J. M., & Ensign, P. C. (2002). Centers of excellence in multinational corporations. Strategic Management Journal, 23(11), 997–1018.CrossRef
Gassmann, O., & Han, Z. (2004). Motivations and barriers of foreign R&D activities in China. R&D Management, 34(4), 423–437.CrossRef
Gassmann, O., & von Zedtwitz, M. (1998). Organization of industrial R&D on a global scale. R&D Management, 28(3), 147–161.CrossRef
Gassmann, O., & von Zedtwitz, M. (1999). New concepts and trends in international R&D organization. Research Policy, 28(2–3), 231–250.CrossRef
Geppert, M., & Williams, K. (2006). Global, national and local practices in multinational corporations: Towards a sociopolitical framework. International. Journal of Human Resource Management, 17(1), 49–69.CrossRef
Gerybadze, A., & Reger, G. (1999). Globalization of R&D: Recent changes in the management of innovation in transnational corporations. Research Policy, 28(2–3), 251–274.CrossRef
Govindarajan, V., & Ramamurti, R. (2011). Reverse innovation, emerging markets, and global strategy. Global Strategy Journal, 1(3–4), 191–205.CrossRef
Govindarajan, V., & Trimble, C. (2012). Reverse innovation: Create far from home, win everywhere. Boston: Harvard Business Press.
Granovetter, M. (1985). Economic action and social structure: The problem of embeddedness. American Journal of Sociology, 91(3), 481–510.CrossRef
Granstrand, O., Håkanson, L., & Sjölander, S. (1993). Internationalization of R&D: A survey of some recent research. Research Policy, 22(5), 413–430.CrossRef
Gupta, A., Govindarajan, V., & Malhotra, A. (1999). Feedback-seeking behavior within multinational corporations. Strategic Management Journal, 20(3), 205–222.CrossRef
Håkanson, L., & Nobel, R. (2001). Organizational characteristics and reverse technology transfer. Management International Review, 41(4), 395–420.
Hansen, M. T. (1999). The search-transfer problem: The role of weak ties in sharing knowledge across organization subunits. Administrative Science Quarterly, 44(1), 82–111.CrossRef
Hayashi, T., & Serapio, M. G. (2006). Cross-border linkages in research and development: Evidence from 22 US, Asian and European MNCs. Asian Business and Management, 5(2), 271–298.CrossRef
Hedlund, G. (1986). The hypermodern MNC: A heterarchy? Human Resource Management, 25(1), 9–35.CrossRef
Jha, S. K., Parulkar, I., Krishnan, R. T., & Dhanaraj, C. (2016). Developing new products in emerging markets. MIT Sloan Management Review, 57(3), 55–62.
Johanson, J., & Vahlne, J. E. (1977). The internationalization process of the firm—a model of knowledge development and increasing foreign market commitments. Journal of International Business Studies, 8(1), 23–32.CrossRef
Johanson, J., & Vahlne, J. E. (2009). The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. Journal of International Business Studies, 40(9), 1411–1431.CrossRef
Khan, A. M., Roy, A. K., & Veliyath, R. (2011). Globalization and international R&D flows into emerging markets: Nomothetic evidence. Journal of Emerging Knowledge in Emerging Markets, 3(9), 118–141.
Kogut, B., & Zander, U. (1993). Knowledge of the firm and the evolutionary theory of the multinational corporation. Journal of International Business Studies, 24(4), 625–645.CrossRef
Krishnan, R. T. (2006). Subsidiary initiative in Indian software subsidiaries of MNCs. Vikalpa: The Journal for Decision Makers, 31(1), 61–71.CrossRef
Kuemmerle, W. (1999). The drivers of foreign direct investment into research and development: An empirical investigation. Journal of International Business Studies, 30(1), 1–24.CrossRef
Kumar, N. (2001). Determinants of location of overseas R&D activity of multinational enterprises: The case of U.S. and Japanese corporations. Research Policy, 30(1), 159–174.CrossRef
Kumar, N., & Puranam, P. (2012). India inside: The emerging innovation challenge to the West. Boston: Harvard Business Press.
Lane, P. J., & Lubatkin, M. (1998). Relative absorptive capacity and interorganizational learning. Strategic Management Journal, 19(5), 461–477.CrossRef
Lasserre, P. (2003). Global strategic management. London: Palgrave Macmillan.
London, T., & Hart, S. L. (2004). Reinventing strategies for emerging markets: Beyond the transnational model. Journal of International Business Studies, 35(5), 350–370.CrossRef
Meyer, K. E., Mudambi, R., & Narula, R. (2011). Multinational enterprises and local contexts: The opportunities and challenges of multiple embeddedness. Journal of Management Studies, 48(2), 235–252.
Meyer, K. E., & Nguyen, H. V. (2005). Foreign investment strategies and sub-national institutions in emerging markets: Evidence from Vietnam. Journal of Management Studies, 42(1), 63–93.CrossRef
Miles, M. B., & Huberman, A. M. (1994). Qualitative data analysis: An expanded sourcebook. New York: Sage Publications.
Mirabeau, L., & Maguire, S. (2014). From autonomous strategic behavior to emergent strategy. Strategic Management Journal, 35(8), 1202–1229.CrossRef
Mudambi, R. (2011). Hierarchy, coordination, and innovation in the multinational enterprise. Global Strategy Journal, 1(3–4), 317–323.CrossRef
Nell, P. C., & Ambos, B. (2013). Parenting advantage in the MNC: An embeddedness perspective on the value added by headquarters. Strategic Management Journal, 34(9), 1086–1103.CrossRef
Nell, P. C., Ambos, B., & Schlegelmilch, B. B. (2011). The MNC as an externally embedded organization: An investigation of embeddedness overlap in local subsidiary networks. Journal of World Business, 46(4), 497–505.CrossRef
Nelson, R. R. (1993). National systems of innovations: A comparative analysis. Oxford: Oxford University Press.
Nobel, R., & Birkinshaw, J. (1998). Innovation in multinational corporations: Control and communication patterns in international R & D operations. Strategic Management Journal, 19(5), 479–496.CrossRef
Orton, J. D. (1997). From inductive to iterative grounded theory: Zipping the gap between process theory and process data. Scandinavian Journal of Management, 13(4), 419–438.CrossRef
Patibandla, M. (2006). Evolution of markets and institutions: A study of an emerging economy. London, New York: Routledge.CrossRef
Pearce, R. D. (1999). Decentralised R&D and strategic competitiveness: Globalised approaches to generation and use of technology in multinational enterprises (MNEs). Research Policy, 28(2–3), 157–178.CrossRef
Polanyi, K. (1957). The great transformation. Bosten: Beacon Press.
Porter, M. (1990). Competitive advantage of nations. New York: Free Press.CrossRef
Reddy, P. (1997). New trends in globalization of corporate R&D and implications for innovation capability in host countries: A survey from India. World Development, 25(11), 1821–1837.CrossRef
Reddy, A. S. P., & Sigurdson, J. (1994). Emerging patterns of globalization of corporate R&D and scope for innovative capability building in developing countries? Science and Public Policy, 21(5), 283–294.
Ronstadt, R. (1978). International R&D: The establishment and evolution of research and development abroad by seven U.S. Multinationals. Journal of International Business Studies, 9(1), 7–24.CrossRef
Roth, K., & Morrison, A. J. (1992). Implementing global strategy: Characteristics of global subsidiary mandates. Journal of International Business Studies, 23(4), 715–735.CrossRef
Suddaby, R. (2006). From the editors: What grounded theory is not. Academy of Management Journal, 49(4), 633–642.CrossRef
Teece, D. J. (2000). Managing intellectual capital: Organizational, strategic, and policy dimensions. Oxford: Oxford University Press.
Uzzi, B. (1996). The sources and consequences of embeddedness for the economic performance of organizations: The network effect. American Sociological Review, 61(4), 674–698.CrossRef
Uzzi, B. (1997). Social structure and competition in interfirm networks: The paradox of embeddedness. Administrative Science Quarterly, 42(1), 35–67.CrossRef
Vaara, E., & Lamberg, J. A. (2016). Taking historical embeddedness seriously: Three historical approaches to advance strategy process and practice research. Academy of Management Review, 41(4), 633–657.CrossRef
Veliyath, R., & Sambharya, R. B. (2011). R&D investments of multinational corporations. Management International Review, 51(3), 407–428.CrossRef
Vernon, R. (1966). International investment and international trade in the product cycle. The Quarterly Journal of Economics, 80(2), 190–207.CrossRef
Vernon, R. (1979). The product cycle hypothesis in a new international environment. Oxford Bulletin of Economics and Statistics, 41(4), 255–267.CrossRef
von Zedtwitz, M., Gassmann, O., & Boutellier, R. (2004). Organizing global R&D: Challenges and dilemmas. Journal of International Management, 10(1), 21–49.CrossRef
Yamin, M., & Andersson, U. (2011). Subsidiary importance in the MNC: What role does internal embeddedness play? International Business Review, 20(2), 151–162.CrossRef
Yin, R. (2009). Case study research: Design and methods (5th ed.). New York: Sage Publications.
Yip, G. S., & McKern, B. (2016). China’s next strategic advantage: From imitation to innovation. Cambridge: MIT Press.
Zhao, M. (2006). Conducting R&D in countries with weak intellectual property rights protection. Management Science, 52(8), 1185–1199.CrossRef
Metadaten
Titel
From Arbitrage to Global Innovation: Evolution of Multinational R&D in Emerging Markets
verfasst von
Srivardhini K. Jha
Charles Dhanaraj
Rishikesha T. Krishnan
Publikationsdatum
28.05.2018
Verlag
Springer Berlin Heidelberg
Erschienen in
Management International Review / Ausgabe 4/2018
Print ISSN: 0938-8249
Elektronische ISSN: 1861-8901
DOI
https://doi.org/10.1007/s11575-018-0353-3

Weitere Artikel der Ausgabe 4/2018

Management International Review 4/2018 Zur Ausgabe

Research Article

Hybrid State-Owned Enterprises and Internationalization: Evidence from Emerging Market Multinationals

Research Article

A Meta-analysis of the International Experience–Ownership Strategy Relationship: A Dynamic Capabilities View

Research Article

The New MNE: ‘Orchestration’ Theory as Envelope of ‘Internalisation’ Theory

Research Article

The Impact of Managers’ Global Orientation on SME Export and Economic Performance

Premium Partner

    Bildnachweise